Some Companies Now View Remote Work as a Liability

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WSJ Your Money Briefing 9 min 3 speakers 3 chapters transcribed 2 months ago
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ReliaQuest Advertiser 0:00
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J.R. Whelan 0:33
Here's your money briefing for Friday, March 24th. I'm J.R. Whelan for The Wall Street Journal. Flexible work schedules have been an important recruiting tool for companies to find new employees, not to mention a way to keep the peace among existing staff who weren't ready to return to their desks full time. Fast forward, and now companies see remote work as a liability, and they want workers back in the office.
Callum Borchers 0:56
Some companies aren't in the same growth mode that they were at this time six months ago or a year ago. And so the recruiting advantage is less of an enticement. Instead, they're focused more on efficiency.
J.R. Whelan 1:07
Coming up, we'll talk to WSJ On The Clock columnist Callum Borshers after the break.
ReliaQuest Advertiser 1:17
This podcast is brought to you by ReliaQuest. Cyber criminals are constantly attacking. They want your data. They want your identity. They want your innovation. ReliaQuest fortifies your business with agentic defense, AI that detects, contains, and eliminates cyber threats in minutes. It helps your security team move faster at the work that matters most to protect the business now and delivers insights to help them predict what's next. ReliaQuest, agentic defense for the enterprise. Learn more at ReliaQuest.com. That's R-E-L-I-A-Q-U-E-S-T.com.
J.R. Whelan 1:58
As pandemic restrictions eased and offices opened back up, companies embraced the idea of employees working a hybrid schedule. But now some companies that once praised remote working frown upon it, and it's raising tensions between companies and their workers. WSJ columnist Callum Borshers looked into this issue in his latest On the Clock column, and he joins me now.

Why are some companies now calling remote work a liability?

J.R. Whelan 2:18
Hey, Callum, thanks very much for being with us. Glad to be with you, JR. You know, Callum, most offices have opened up by now, but the ability to work remotely or at least work a hybrid schedule, that's pretty much become a way of life for many employees.
Callum Borchers 2:30
It certainly has. And it's not something that they're willing to give up easily, JR, because, of course, you save on the commute time. Maybe you don't have to pay for parking. There's a lot of conveniences that come with being able to work from home. And so we do still see a really high demand for workers to have this flexibility. At the same time, we see some companies kind of souring on this idea for a few reasons.
J.R. Whelan 2:49
But wasn't it not long ago when we saw companies touting kind of a checkerboard schedule, you know, maybe three days in the office, two days at home? What's caused that to shift?
Callum Borchers 2:58
Right. And remember, some of the reasons the company said they liked it was, well, we could recruit talent from all over the place, right? That's going to be a recruiting advantage for us if we're not just focused on the local market. But now, of course, one thing that's changed is the labor market starting to cool off. There's a lot of talk of a possible recession. And because of that, some companies aren't in the same growth mode that they were at this time six months ago or a year ago. And so the recruiting advantage is less of an enticement. Instead, they're focused more on efficiency. That's sort of the buzzword that we keep hearing come up at a lot of these companies. It sounds like there are strong arguments on both sides of this issue.
Callum Borchers 3:31
It is. And it's something that companies were willing to tolerate when they felt like there was enough of a payoff.

How did hybrid and remote schedules become a recruiting advantage?

Callum Borchers 3:35
But right now, some managers are telling me they're getting kind of sick of it. And of course, to be fair, I mean, there are plenty of bosses, too, who really never liked this remote idea.

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